One of the more interesting things I have heard about the upcoming Daggerheart is that one of the first steps is to define your world. You do not get every lineage and background in every world! If your world is just "frog people" and "bird people," that is it; no Tieflings and Dragonkin are running around in there.
Finally. A fantasy game that gets it and isn't a sticky ball of everything, plus the next 100 lineages the publisher can put out over 10 years. Monsters are hopefully the same way; you could likely omit dragons if you don't want them, or say dragons are the only monsters in the world. A lot of fantasy movies are just "humans and dragons" as the only inhabitants and monsters in the world, and a game that sets up that "design space" is a nice thing to see.
In fact, this is just like GURPS.
GURPS also does this "design your world" step first. This is also why GURPS is far less played, since every option you need to DIY yourself, while Daggerheart gives you premade choices. Very few people have the time or imagination to create a whole world from scratch. This is why Dungeon Fantasy is a popular variant of GURPS; a lot is premade for you. There are also projects out there to bring kitchen sink fantasy monsters and races to GURPS, which are great projects and benefits to the community.
I have always had a problem with choice paralysis. I can have so many games on my shelves that I play none of them. I get this with fantasy games as well, give me too many choices, and it gets harder for me to sort through and use all the character options the game gives me. If I play fantasy, I narrow down the choices and focus my world on the best of the best, given the story. If all my world needs are orcs, ogres, and goblins, why am I including kobolds, gnolls, bugbears, and 101 similarly functional humanoid lineages? At a conceptual level, they are different-shaped things that serve the same role.
Once I set up "Vikings versus Orcs," that is it. Throwing Giants, planar monsters, demons, or Drow elves in the mix messes the whole story up.
I make the same world-building and genre definition choices as Daggerheart does in my GURPS games. I like doing that since it makes my game concept stronger. I'm not worrying about the 499 other monsters in the book and how they fit in, and I can conceptualize and tell stories better in a smaller world with fewer conflicts.
It is nice to see more worldbuilding as the first step in the game, and D&D and even Pathfinder are moving away from DIY worlds and forcing you more and more to play in the officially supported setting. This is also why I prefer Tales of the Valiant over D&D, there isn't all the "product identity" in the generic fantasy ToV game. I can create a generic fantasy world with a defined story in ToV far easier than I can in D&D. And Daggerheart is following that model.
Tales of the Valiant can inherit choice paralysis quite quickly if you buy the spell and monster expansion books that Kobold Press put out for 5E. They have about 2,000 monsters for the system these days, and over 1,000 spells. ToV is massive with the additional books for 5E. Even with all those, my world is mine, and I am free to ignore all that.
GURPS is also as generic or specific a fantasy setting as you want it to be. The only difference is that GURPS is a lower-level design language of a game, while ToV and Daggerheart give you many premade choices and an easier starting path.
Something about Daggerheart reminds me of the Cypher System. I have a strange feeling that the games have a similar design mechanic, as Cypher System does many narrative pools and tools for both players and referees to use, along with meta-concepts such as "GM Intrusions" and players spending XP to alter the narrative.
Like Daggerheart, Cypher uses a "pick-based" character design system, where you say you are an X who does Y because of Z, such as "I am a Rugged Warrior who Controls Beasts." Daggerheart puts choices like those on cards and lets you combine them like Cypher does.
I hope this game does well; it's nice to see a rules-medium, narrative-focused game with narrative pool mechanics come out. While I love GURPS, there needs to be more fantasy games than just D&D for streamers to tell stories with, and the "Critical Role" style is what drives a lot of interest in the hobby. They have a complete SRD and free resources to download, so they are being overly generous to give themselves the best chance to grab a following.
Many YouTube D&D channels are struggling, as YouTube is instructing them to explore other subjects. Daggerheart should take off and replace D&D for many of these groups, giving them new life in their channels. D&D is such an elephant in the room that the hobby would be better served by having different games diversifying interest and live-play shows. If Daggerheart can revive fantasy live-plays, that is a good thing, even for GURPS, since interest in live plays does have crossover.
I wish them luck and hope the streaming shows playing this game take off. It would be beneficial for the hobby to have more games that people play, rather than relying on the default D&D.
And, of course, I hope there are more GURPS live plays, too.